BREXITEERS dream of freedom from the European Union’s shackles, imagining plucky British negotiators forging new trade deals with America, China and India. Reality dictates a different set of priorities. Britain already has around 40 free-trade agreements through its membership of the EU. None will survive Brexit automatically.
FINANCIAL media focus most of their attention on stocks and bonds, but the world’s biggest asset class is actually residential property. With an estimated value of about $200trn, homes are collectively worth about three times as much as all publicly traded stocks.
Here are three noteworthy pronouncements about bubbles. “Prices have reached what looks like a permanently high plateau.” That was Professor Irving Fisher in 1929, prominently reported barely a week before the most brutal stock market crash of the 20th century. He was a rich man, and the greatest economist of the age. The great crash […]
“GRAND coalitions”, Willy Brandt apocryphally opined, “have the feel of perverse sex acts”. Such broad alliances, he thought, are unnatural and best avoided. And post-war Germans did largely avoid them: until 2005, they only had one. Since 2005, however, they have had two, and may soon have another.
GLOBAL oil markets have historically been prone to epic cycles of boom and bust. Because it generally takes years for a fresh exploration project to yield its first barrels, producers tend to over-invest when prices are high, only to see the value of their output crash once a large number of new fields begin operation.